Skip to content
SolarUnfiltered

Solar in Arkansas

Key Solar Metrics

Avg Electricity Rate

12.8¢/kWh

Solar Production Potential

5.2 peak sun hours

Annual Production

916 kWh/kW

Net Metering

Net Billing

Incentive Programs

2 active programs

Top Incentive

Arkansas Net Billing

Permitting

City

Major Utilities

Entergy Arkansas Inc (Arkansas) logoEntergy Arkansas Inc (Arkansas)
Southwestern Electric Power Co (Arkansas) logoSouthwestern Electric Power Co (Arkansas)

Solar Landscape in Arkansas

Arkansas is primarily served by two large investor-owned utilities. Entergy Arkansas is the largest, serving approximately 700,000 customers across much of the central and eastern portions of the state. Southwestern Electric Power Company (SWEPCO), an AEP subsidiary, serves the northwestern portion of the state.

The state's average residential electricity rate is approximately $0.12/kWh. Under Act 278 (2019) and subsequent APSC orders, both major utilities transitioned from full retail net metering to avoided cost net billing for new solar customers as of late 2024. Systems installed before the transition date retain full retail credits for 20 years. Several electric cooperatives and municipal utilities also serve parts of the state, with varying solar policies.

Permitting

Arkansas has no statewide solar permitting standards. Solar permitting is handled at the local level by city and county building departments. Requirements, fees, and timelines vary significantly across the state.

No Arkansas jurisdictions currently participate in the DOE's SolarAPP+ automated permitting program. Typical residential solar permit timelines range from 1 to 3 weeks depending on the municipality. Little Rock and other larger cities generally have more established permitting processes.

The Arkansas Public Service Commission (APSC) oversees interconnection standards for regulated utilities, with a simplified process available for residential systems under 25 kW.

Get Your Personalized Estimate

See what solar looks like for your specific situation with our calculator.

Advertisement

Solar Incentives & Rebates

Some incentive data is provisional and subject to verification. Programs may change — check official sources before making decisions.

State Programs

Arkansas Net Billing

Arkansas reformed net metering in 2019. New solar customers receive 2-channel billing with export credits at avoided cost rate (~$0.04/kWh for Entergy).

Arkansas Solar Access Rights

Arkansas protects solar easements under ACA 18-15-901. Provides framework for solar access agreements.

Provisional

Arkansas Net Billing (Act 464)

Policy Type
Net Billing
Credit Type
Avoided Cost
System Size Cap
25 kW
Annual Credit Rollover
Yes
Effective Date
July 1, 2019

Run the Numbers for Arkansas

Solar in Arkansas costs $2.47–$3.02 per watt

National average: $3.36/W

See how much you could save
Advertisement
Solar in Arkansas: Costs, Savings & Incentives | SolarUnfiltered